Minimum wage has been the subject of controversy in Germany, with business leaders warning that it could result in fewer jobs, or force companies to emloy cheaper labour.

Many lobbyists believe the policy would make Germany less competitive but some others have been angered by concessionary measures, including a two-year grace period for some employers to phase in the policy.

The wage however does not cover minors, interns, trainees or long-term unemployed people for their first six months at work.

For the rest of Germany’s employers, the regulations will come into effect on January 1 2015. The wage will be reviewed annually from January 2018.